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What is a prepaid load?

Updated: 11/11/2022
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13y ago

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When purchasing mutual funds, a prepaid load is one in which you pay the commission upfront, opposed to paying a rear load where you pay any commissions after the sale of the mutual fund.

In cell phones, a prepaid load would be buying usable minutes using those minutes and then buying more minutes. You are paying upfront instead of receiving a monthly billing.

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